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Commencement Orders yet to be applied to the Housing Associations Act 1985

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Commencement Orders bringing legislation that affects this Act into force:

Part IE+W+S Regulation of Housing Associations

IntroductoryE+W+S

1 Meaning of “housing association” and related expressions.E+W+S

(1)In this Act “housing association” means a society, body of trustees or company—

(a)which is established for the purpose of, or amongst whose objects or powers are included those of, providing, constructing, improving or managing, or facilitating or encouraging the construction or improvement of, housing accommodation, and

(b)which does not trade for profit or whose constitution or rules prohibit the issue of capital with interest or dividend exceeding such rate as may be prescribed by the Treasury, whether with or without differentiation as between share and loan capital [F1;]

(2)In this Act “fully mutual”, in relation to a housing association, means that the rules of the association—

(a)restrict membership to persons who are tenants or prospective tenants of the association, and

(b)preclude the granting or assignment of tenancies to persons other than members;

and “co-operative housing association” means a fully mutual housing association which is a society registered under the M1Industrial and Provident Societies Act 1965 [F4(in this part referred to as “the 1965 Act”)] .

(3)In this Act “self-build society” means a housing association whose object is to provide, for sale to, or occupation by, its members, dwellings built or improved principally with the use of its members’ own labour.

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2 Meaning of “housing trust”.E+W+S

In this Act “housing trust” means a corporation or body of persons which—

(a)is required by the terms of its constituent instrument to use the whole of its funds, including any surplus which may arise from its operations, for the purpose of providing housing accommodation, or

(b)is required by the terms of its constituent instrument to devote the whole, or substantially the whole, of its funds to charitable purposes and in fact uses the whole, or substantially the whole, of its funds for the purpose of providing housing accommodation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

[F8“registered social landlord” has the same meaning as in Part I of the Housing Act 1996, and]

“unregistered”, in relation to a housing association, means neither registered in the register [F9of social landlords maintained under section 57 of the Housing (Scotland) Act 2001 (asp 10)].]

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RegistrationE+W+S

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Disposal of landE+W+S

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9 Control by [F16Corporation] of dispositions of land by housing associations.E+W

[F19(1A)Subject to section 10, the consent of the relevant Corporation is required for any disposition of grant-aided land (as defined in Schedule 1) by an unregistered housing association; and for this purpose “the relevant Corporation” means,—

(a)generally to all housing associations or to a particular housing association or description of association;

(b)in relation to particular land or in relation to a particular description of land;

and may be given subject to conditions.

(3)A disposition by a housing association which requires [F22consent] under this section is valid in favour of a person claiming under the association notwithstanding that [F22that consent] has not been given; and a person dealing with the association, or with a person claiming under the association, shall not be concerned to see or inquire whether any such consent has been given.

This subsection has effect subject to section 12 (avoidance of certain dispositions of houses without consent).

(a)in the case of the Housing Corporation F25. . ., to consent given by order under the seal of the Corporation; and

(b)in the case of [F26the Secretary of State or]Scottish Homes, to consent in writing.]]

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(1)A disposition by an unregistered housing association which is a charity is not within section 9 if by virtue of [F28sections 36 and 38 of the Charities Act 1993] it cannot be made without an order of the court or the Charity Commissioners; but [F29before making an order in such a case the Charity Commissioners shall consult,—

(a)in the case of dispositions of land in England, the Housing Corporation;

(b)in the case of dispositions of land in Scotland, Scottish Homes; and

(c)in the case of dispositions of land in Wales, [F30the Secretary of State].]

(2)A letting F31. . . by an unregistered housing association which is a housing trust, is not within section 9 if it is—

(a)a letting of land under a secure tenancy, or

(b)a letting of land under what would be a secure tenancy but for any of paragraphs 2 to 12 of [F32Schedule 1 to the Housing Act 1985] or [F33paragraphs [F331 to 8 of Schedule 2 to the Housing (Scotland) Act 1987]] (tenancies excepted from being secure tenancies for reasons other than that they are long leases) [F34or

(c)a letting of land under an assured tenancy or an assured agricultural occupancy, or

(d)a letting of land in England or Wales under what would be an assured tenancy or an assured agricultural occupancy but for any of paragraphs 4 to 8 of Schedule 1 to the Housing Act 1988, or

(e)a letting of land in Scotland under what would be an assured tenancy but for any of paragraphs 3 to 8 and 12 of Schedule 4 to the Housing (Scotland) Act 1988.]

(3)The grant by an unregistered housing association which does not satisfy the landlord condition in section 80 of the Housing Act 1985 (bodies which are capable of granting secure tenancies) of a lease for a term ending within the period of seven years and three months beginning on the date of the grant is not within section 9 unless—

(a)there is conferred on the lessee (by the lease or otherwise) an option for renewal for a term which, together with the original term, would expire outside that period, or

(b)the lease is granted wholly or partly in consideration of a fine.

(4)In subsection (3) the expression “lease” includes an agreement for a lease and a licence to occupy, and the expressions “grant” and “term” shall be construed accordingly.]

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

A disposal of a house by a housing association made without the consent required by section 9 is void unless—

(a)the disposal is to an individual (or to two or more individuals), and

(b)the disposal does not extend to any other house.]

Annotations:

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Control of payments to members, etc.E+W+S

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Constitution, change of rules, amalgamation and dissolutionE+W+S

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Accounts and auditE+W+S

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Inquiries into affairs of housing associationsE+W+S

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

MiscellaneousE+W+S

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Any of the [F61following [F62, that is to say, the Housing Corporation, the Secretary of State] or Scottish Homes,]may enter into an agreement with the others or either of them for the provision of services of any description by the one to the other or others on such terms, as to payment or otherwise, as the parties to the agreement consider appropriate.]

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34 Provision of land by county councils.E+W

(1)Where a housing association wishes to erect houses [F63in England]which in the opinion of the Secretary of State are required and the local housing authority in whose district the houses are proposed to be built are unwilling to acquire land with a view to selling or leasing it to the association, the county council, on the application of the association, may acquire land for that purpose.

(2)For that purpose the county council may exercise all the powers of a local housing authority under Part II of the M2Housing Act 1985 (provision of housing) in regard to the acquisition and disposal of land; and the provisions of that Act as to the acquisition of land by local housing authorities for the purposes of that Part apply accordingly.

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35 Housing trusts: power to transfer housing to local housing authority.E+W

(1)A housing trust may—

(a)sell or lease to the local housing authority the houses provided by the trust, or

(b)make over to the authority the management of the houses.

(2)So far as subsection (1) confers power to dispose of land—

[F64(a)it does not apply to registered social landlords (on whom power to dispose of land is conferred by section 8 of the Housing Act 1996);.]

(b)it has effect subject to section 9 (dispositions requiring consent of [F65Corporation]) where the housing trust is an unregistered housing association and the land is grant-aided land (as defined in Schedule 1); and

(c)it has effect subject to [F66[F67section 36 of the Charities Act 1993] (restrictions on dispositions of charity land)] where the housing trust is a charity.

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36 Housing trusts: functions of Secretary of State with respect to legal proceedings.E+W+S

(1)If it appears to the Secretary of State—

(a)that the institution of legal proceedings is requisite or desirable with respect to any property belonging to a housing trust, or

(b)that the expediting of any such legal proceedings is requisite or desirable,

he may certify the case to the Attorney-General who may institute legal proceedings or intervene in legal proceedings already instituted in such manner as he thinks proper in the circumstances.

(2)Before preparing a scheme with reference to property belonging to a housing trust, the court or body which is responsible for making the scheme shall communicate with the Secretary of State and consider any recommendations made by him with reference to the proposed scheme.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

SupplementaryE+W+S

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

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Part IIE+W+S Housing Association Finance

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Deficit grantsE+W+S

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Arrangements with local authoritiesE+W+S

[F9558Powers of local authorities to promote and assist housing associations: England and Wales.E+W+S

(1)A local authority may promote the formation or extension of a housing association.

(2)A local authority may for the assistance of a housing association subscribe for share or loan capital of the association.

(3)A local authority may make a loan to an unregistered self-build society for the purpose of enabling it to meet the whole or part of the expenditure incurred, or to be incurred by it, in carrying out its objects.

(4)This section does not apply where the housing association is a registered social landlord (for which corresponding provision is made by section 22 of the Housing Act 1996)..]

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[F9659 Powers of local authorities to promote and assist housing associations: Scotland.S

(1)A local authority F97. . . may promote the formation or extension of or, subject to section 60 (assistance restricted to registered housing associations), assist a housing association whose objects include the erection, improvement or management of housing accommodation.

(2)A local authority F97. . . may, with the consent of and subject to any regulations or conditions made or imposed by the Secretary of State, for the assistance of such an association—

(a)make grants or loans to the association,

(b)subscribe for share or loan capital of the association, or

(c)guarantee or join in guaranteeing the payment of the principal of, and interest on, money borrowed by the association (including money borrowed by the issue of loan capital) or of interest on share capital issued by the association,

on such terms and conditions as to rate of interest and repayment or otherwise and on such security as the local authority F97. . . think fit.

(3)A term of an agreement for such a grant or loan is void if it purports to relate to the rent payable in respect of a house to which the agreement relates or the contributions payable towards the cost of maintaining such a house.

(4)Regulations under this section shall be made by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.

[F98(5)Sections 6, 15, 320 and 329 of the Housing (Scotland) Act 1987 (general provisions with respect to housing functions of local authorities etc.) apply in relation to this section and section 61, as they apply in relation to the provisions of that Act.]]

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[F10061 Power of local housing authority to supply furniture to housing association tenants.E+W

(1)A local housing authority may sell, or supply under a hire-purchase agreement, furniture to the occupants of houses provided by a housing association under arrangements made with the authority, and may buy furniture for this purpose.

(2)In this section “hire-purchase agreement” means a hire-purchase agreement or conditional sale agreement within the meaning of the M6Consumer Credit Act 1974.

[F101(3)This section does not apply where the housing association is a registered social landlord (for which corresponding provision is made by section 22 of the Housing Act 1996).]]

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Loans by Public Works Loan CommissionersE+W+S

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68 Loans by Public Works Loan Commissioners: Scotland.E+W+S

(1)The Public Works Loan Commissioners may lend money to a [F105registered housing association]—

(a)for the purpose of constructing or improving, or facilitating or encouraging the construction or improvement of, houses,

(b)for the purchase of houses, and

(c)for the purchase and development of land.

(2)A loan for any of those purposes shall be secured with interest by a heritable security over—

(a)the land in respect of which that purpose is to be carried out, and

(b)such other land, if any, as may be offered as security for the loan;

and the money lent shall not exceed three-quarters (or, if the payment of the principal of and interest on the loan is guaranteed by a local authority, nine-tenths) of the value, to be ascertained to the satisfaction of the Public Works Loan Commissioners, of the estate or interest in the land proposed to be burdened.

(3)Loans may be made by instalments as the building of houses or other work on the land burdened under subsection (2) progresses (so, however, that the total loans do not at any time exceed the amount specified in that subsection); and the heritable security may be granted accordingly to secure such loans so to be made.

(4)If the loan exceeds two-thirds of the value referred to in subsection (2), and is not guaranteed as to principal and interest by a local authority, the Public Works Loan Commissioners shall require, in addition to such a heritable security as is mentioned in that subsection, such further security as they may think fit.

(5)Subject to subsection (6), the period for repayment of a loan under this section shall not exceed 40 years, and no money shall be lent on the security of any land unless the estate or interest proposed to be burdened is either ownership or a lease of which a period of not less than 50 years remains unexpired at the date of the loan.

(6)Where a loan under this section is made for the purposes of carrying out a scheme for the provision of houses approved by the Secretary of State, the maximum period for the repayment of the loan is 50 instead of 40 years, and money may be lent on heritable security over a lease recorded under the M7Registration of Leases (Scotland) Act 1857 of which a period of not less than ten years in excess of the period fixed for the repayment of the loan remains unexpired at the date of the loan.

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MiscellaneousE+W+S

69 Power to vary or terminate certain agreements with housing associations.E+W+S

(1)This section applies to agreements of the following descriptions—

(a)an agreement for a loan to a housing association by the Housing Corporation under section 2 of the M8Housing Act 1964 [F106(including such an agreement under which rights and obligations have been transferred to Housing for Wales)][F107and then to the Secretary of State];

(b)an agreement which continues in force under Part I of Schedule 4 (arrangements with local authority for the provision or improvement of housing);

(c)an agreement to which Part II of Schedule 4 applies (subsidy agreements with local authorities);

(d)an agreement which continues in force under Part III of Schedule 4 (special arrangements with the Secretary of State);

[F108(e)an agreement for a loan or grant to a housing association under section 58(2) or 59(2) (financial assistance by local authorities);]

(f)a scheme which continues in force under Part V of Schedule 5 (schemes for unification of grant conditions).

[F109[F110(g)an agreement for a loan or grant to a registered housing association under section 24 of the Local Government Act 1988 (power to provide financial assistance for privately let housing accommodation).]]

(2)[F111If any person (other than the Secretary of State) who is a party to an agreement to which this section applies makes an application to the Secretary of State, he] may, if he thinks fit, direct—

(a)that the agreement shall have effect with such variations, determined by him or agreed by the parties, as may be specified in the direction, or

(b)that the agreement shall be terminated.

[F112and where the Secretary of State is a party to such an agreement, he may agree that it shall have effect with any variations or that it shall be terminated.]

[F113(2A)In the case of an agreement under which rights and obligations have been transferred to Housing for Wales [F114and then to the Secretary of State], the reference to a party to the agreement includes a reference to [F115the Secretary of State].]

(3)No variation shall be directed under subsection (2) which would have the effect of including in an agreement a term—

(a)limiting the aggregate amount of rents payable in respect of dwellings to which the agreement relates or contributions towards the cost of maintaining such dwellings, or

(b)specifying a limit which the rent of a dwelling is not to exceed.

This subsection does not extend to Scotland.

(4)No variation shall be directed under subsection (2) which would have the effect of including in an agreement a term relating to the rent payable in respect of a house to which the agreement relates or contributions towards the cost of maintaining such a house.

This subsection extends to Scotland only.

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A housing association is not entitled to a [F117grant under section 50 (housing association grant) or section 51 (revenue deficit grant) of the Housing Act 1988] in respect of land comprised in—

(a)a management agreement within the meaning of the Housing Act 1985 (see sections 27(2) and 27B(4) of that Act: delegation of housing management functions by certain authorities), or

(b)an agreement to which section [F11822 of the Housing (Scotland) Act 1987] applies (agreements for exercise by housing co-operatives of certain local authority housing functions).]

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70 Continuation of arrangements under repealed enactments.E+W+S

The provisions of Schedule 4 have effect in relation to certain arrangements affecting housing associations which continue in force despite the repeal of the enactments under or by reference to which they were made, as follows—

Part I —Arrangements with local authorities for the provision or improvement of housing.

Part II —Subsidy agreements with local authorities.

Part III —Special arrangements with the Secretary of State in Scotland.

71 Superseded contributions, subsidies and grants.E+W+S

The provisions of Schedule 5 have effect with respect to superseded subsidies, contributions and grants, as follows—

Part I —Residual subsidies: England and Wales.

Part II —Residual subsidies: Scotland.

Part III—Contributions and grants under arrangements with local authorities.

Part IV—Contributions under arrangements with the Secretary of State in Scotland.

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Part IIIE+W+S The Housing Corporation

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(a)in relation to land in Wales held by an unregistered housing association, “theRelevant Authority” means [F136the Secretary of State]; and

(b)in relation to land outside Wales held by such an association, “the [F132Relevant Authority]” means the Housing Corporation.]

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Extent Information

E1This version of this provision extends to England and Wales only; a separate version has been created for Scotland only

74 The Housing Corporation.S

(1)This Part has effect with respect to the Housing Corporation [F260and the Secretary of State

(1A)Each of them] is referred to in this Part as “the [F261Relevant Authority]”

(2)The provisions of Schedule 6 have effect with respect to the constitution and proceedings of, and other matters relating to, [F262the Housing Corporation].

[F263(3)In this Part “registered housing association” in relation to the [F261Relevant Authority], means a housing association registered in the register maintained by the [F261Relevant Authority].

(4)In this Part,—

(a)in relation to land in Wales held by an unregistered housing association, “theRelevant Authority” means [F264the Secretary of State]; and

(b)in relation to land outside Wales held by such an association, “theRelevant Authority” means the Housing Corporation.]

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Extent Information

E8This version of this provision extends to Scotland only; a separate version has been created for England and Wales only

[F138(a)to facilitate the proper performance of the functions of registered social landlords;

(b)to maintain a register of social landlords and to exercise supervision and control over such persons;

(c)to promote and assist the development of self-build societies (other than registered social landlords) and to facilitate the proper performance of the functions, and to publicise the aims and principles, of such societies;]

(e)to undertake, to such extent as the [F137Relevant Authority] considers necessary, the provision (by construction, acquisition, conversion, improvement or otherwise) of dwellings for letting or for sale and of hostels, and the management of dwellings or hostels so provided.

[F140(f)to provide on request, to such extent as the Relevant Authority considers appropriate, advice and assistance to the Audit Commission for Local Authorities and the National Health Service in England and Wales in relation to the Commission’s functions under Part I of the Local Government Act 1999 (best value).]

(2)The [F137Relevant Authority] shall exercise its general functions subject to and in accordance with the provisions of this Act [F141and Part I of the Housing Act 1996].

(3)Subsection (1) is without prejudice to specific functions conferred on the [F137Relevant Authority]by or under this Act [F142or Part I of the Housing Act 1996].

(4)The [F137Relevant Authority] may do such things and enter into such transactions as are incidental to or conducive to the exercise of any of its functions, general or specific, under this Act [F142or Part I of the Housing Act 1996].

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Extent Information

E2This version of this provision extends to England and Wales only; a separate version has been created for Scotland only

(e)to undertake, to such extent as the [F265Relevant Authority] considers necessary, the provision (by construction, acquisition, conversion, improvement or otherwise) of dwellings for letting or for sale and of hostels, and the management of dwellings or hostels so provided.

[F268(f)to provide on request, to such extent as the Relevant Authority considers appropriate, advice and assistance to the Audit Commission for Local Authorities and the National Health Service in England and Wales in relation to the Commission’s functions under Part I of the Local Government Act 1999 (best value).]

(2)The [F265Relevant Authority] shall exercise its general functions subject to and in accordance with the provisions of this Act.

(3)Subsection (1) is without prejudice to specific functions conferred on the [Relevant Authority] by or under this Act.

(4)The [F265Relevant Authority] may do such things and enter into such transactions as are incidental to or conducive to the exercise of any of its functions, general or specific, under this Act.

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Extent Information

E9This version of this provision extends to Scotland only; a separate version has been created for England and Wales only

76 Directions by the Secretary of State.E+W+S

(1)The Secretary of State may give directions to the [F144Housing Corporation] as to the exercise of its functions.

(2)A direction as to the terms of loans made under section 79 (lending powers of [F144Housing Corporation]) requires the consent of the Treasury.

(3)Directions may be of a general or particular character and may be varied or revoked by subsequent directions.

(4)Non-compliance with a direction does not invalidate a transaction between a person and the [F144Housing Corporation] unless the person had actual notice of the direction.

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(1)The [F147Housing Corporation] may, and if so directed by the Secretary of State (under section 76) shall, enter into arrangements of a description approved by the Secretary of State for the purpose of realising the value of the whole or part of its loans portfolio.

(2)The arrangements may provide for—

(a)the transfer of any estate or interest of the [F147Housing Corporation], or

(b)the creation or disposal of economic interests not involving a transfer of an estate or interest,

and may extend to such incidental or ancillary matters as the [F147Housing Corporation] or the Secretary of State considers appropriate.

(3)In this section the [F146Housing Corporation’s]“loans portfolio” means the [F146Housing Corporation’s] rights and obligations in relation to any loans or related securities.

(4)Nothing in the terms of any loan or related transaction entered into by the [F147Housing Corporation] shall be construed as impliedly prohibiting or restricting the [F147Housing Corporation] from dealing with its loans portfolio in accordance with arrangements under this section.]

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77 Advisory service.E+W+S

(1)The [F148Relevant Authority] may provide an advisory service for the purpose of giving advice on legal, architectural and other technical matters to [F149registered social landlords or unregistered housing associations] and to persons who are forming a housing association or are interested in the possibility of doing so.

[F150(3)The powers conferred on the [F148Relevant Authority] by subsections (1) and (2) may be exercised by the Housing Corporation and [F151the Secretary of State] acting jointly]

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Extent Information

E3This version of this provision extends to England and Wales only; a separate version has been created for Scotland only

77 Advisory service.S

(1)The [F270Relevant Authority] may provide an advisory service for the purpose of giving advice on legal, architectural and other technical matters to housing associations (whether registered or unregistered) and to persons who are forming a housing association or are interested in the possibility of doing so.

[F271(3)The powers conferred on the [F270Relevant Authority] by subsections (1) and (2) may be exercised by the Housing Corporation and [F272the Secretary of State] acting jointly]

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Extent Information

E10This version of this provision extends to Scotland only; a separate version has been created for England and Wales only

78 Annual report.E+W+S

(1)The [F152Housing Corporation] shall, as soon as possible after the end of each financial year, make a report to the Secretary of State on the exercise of its functions during the year.

(2)It shall include in the report a copy of its audited accounts and shall set out in the report any directions given to it by the Secretary of State during the year.

(3)The Secretary of State shall lay a copy of the report before each House of Parliament.

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[F153Relevant Authority’s] powers with respect to grants and loansE+W+S

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79 Lending powers.E+W+S

[F154(1)The Relevant Authority may lend to a registered social landlord or an unregistered self-build society, and the Housing Corporation may lend to any of its subsidiaries or to any other body in which it holds an interest, for the purpose of enabling the body to meet the whole or part of expenditure incurred or to be incurred by it in carrying out its objects.

(2)The Relevant Authority may lend to an individual for the purpose of enabling him to acquire from—

(a)the Relevant Authority, or

(b)any body to which the Relevant Authority may lend under subsection (1),

a legal estate or interest in a dwelling which he intends to occupy.]

(3)A loan under this section may be by way of temporary loan or otherwise, and the terms of a loan made under subsection (1) may include (though the terms of a loan made under subsection (2) may not) terms for preventing repayment of the loan or part of it before a specified date without the consent of the [F155Relevant Authority].

(4)The terms of a loan under this section shall, subject to subsection (3) and [F156(in the case of a loan by the Housing Corporation)]to any direction under section 76 (general power of Secretary of State to give directions), be such as the [F155Relevant Authority] may determine, either generally or in a particular case.

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80 Security for loans to unregistered self-build societies.E+W+S

(a)makes a loan to an unregistered self-build society under section 79(1); and

(b)under a mortgage or heritable security entered into by the society to secure the loan has an interest as mortgagee or creditor in land belonging to the society,

it may F158. . . give the society directions with respect to the disposal of the land.

(2)The society shall comply with directions so given so long as the [F157Relevant Authority] continues to have such an interest in the land.

(3)Directions so given may be varied or revoked by subsequent directions F159. . ..

[F160(3A)The written consent of the Secretary of State is required for the giving, varying or revoking of directions by the Housing Corporation.]

(4)The Secretary of State shall not [F161give directions under this section requiring a society to transfer its interest in land to him or any other person, and shall not consent to the Housing Corporation’s giving such directions requiring a society to transfer its interest in land to the Housing Corporation or] any other person, unless he is satisfied that arrangements have been made which will secure that the members of the society receive fair treatment in connection with the transfer.

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81 Further advances in case of disposal on shared ownership lease.E+W

Where—

(a)a lease of a dwelling, granted otherwise than in pursuance of the provisions of Part V of the M9Housing Act 1985 (the right to buy) relating to shared ownership leases, contains a provision to the like effect as that required by paragraph 1 of Schedule 8 to that Act (terms of shared ownership lease: right of tenant to acquire additional shares), and

(b)the [F162Relevant Authority]has, in exercise of any of its powers, left outstanding or advanced any amount on the security of the dwelling,

that power includes power to advance further amounts for the purpose of assisting the tenant to make payments in pursuance of that provision.

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82 Loans made under s. 2 of the Housing Act 1964.E+W+S

Schedule 7 (further powers of [F163Relevant Authority] with respect to land of certain housing associations) applies where a loan has been made to a housing association under section 2 of the M10Housing Act 1964 and the loan has not been repaid.

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83 Power to guarantee loans.E+W+S

[F164(1)The Relevant Authority may guarantee the repayment of the principal of, and the payment of interest on, sums borrowed by registered social landlords or unregistered self-build societies; and the Housing Corporation may guarantee the repayment of the principal of, and the payment of interest on, sums borrowed by other bodies in which it holds an interest.]

[F165(1A)The consent of the Secretary of State given with the approval of the Treasury is required for the giving of a guarantee by the Housing Corporation and the approval of the Treasury is required for the giving of a guarantee by the Secretary of State.]

(2)Where the Corporation gives such a guarantee, it may impose such terms and conditions as it thinks fit.

(3)The aggregate amount outstanding in respect of—

(a)loans for which [F166the Housing Corporation] has given a guarantee under this section, and

(b)payments made by [F166the Housing Corporation] in meeting an obligation arising by virtue of such a guarantee and not repaid to [F166the Housing Corporation],

shall not exceed £300 million or such greater sum not exceeding £500 million as the Secretary of State may specify by order made with the approval of the Treasury.

(a)loans for which [F168the Secretary of State (or Housing for Wales)] has given a guarantee under this section, and

(b)payments made by [F168the Secretary of State (or Housing for Wales)] in meeting an obligation arising by virtue of such a guarantee and not repaid to [F168the Secretary of State (or Housing for Wales)],

shall not exceed £30 million or such greater sum not exceeding £50 million as the Secretary of State may specify by order made with the approval of the Treasury]

(4)An order under subsection (3) [F169or subsection (3A)] shall be made by statutory instrument and no such order shall be made unless a draft of it has been laid before and approved by the House of Commons.

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84 Agreements to indemnify certain lenders: England and Wales.E+W+S

(b)a recognised body making a relevant advance on the security of a house,

whereby, in the event of default by the mortgagor, and in circumstances and subject to conditions specified in the agreement, the [F170Relevant Authority]binds itself to indemnify the society or body in respect of the whole or part of the mortgagor’s outstanding indebtedness and any loss or expense falling on the society or body in consequence of the mortgagor’s default.

(2)The agreement may also, if the mortgagor is made party to it, enable or require the [F170Relevant Authority] in specified circumstances to take a transfer of the mortgage and assume rights and liabilities under it, the building society or recognised body being then discharged in respect of them.

(3)The transfer may be made to take effect—

(a)on terms provided for by the agreement (including terms involving substitution of a new mortgage agreement or modification of the existing one), and

(b)so that the [F170Relevant Authority]is treated as acquiring (for and in relation to the purposes of the mortgage) the benefit and burden of all preceding acts, omissions and events.

(4)The [F172Housing Corporation may not enter into an agreement without the approval of the Secretary of State who] may approve particular agreements or give notice that particular forms of agreement have his approval, and in either case may make his approval subject to conditions.

(5)The Secretary of State shall, before giving notice that a particular form of agreement has his approval [F173and before himself entering into an agreement in a form about which he has not previously consulted under this subsection], consult—

(a)in the case of a form of agreement with a building society, the [F174Financial Services Authority] and such organisations representative of building societies and local authorities as he thinks expedient, and

(b)in the case of a form of agreement with a recognised body, such organisations representative of such bodies and local authorities as he thinks expedient.

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

85 Meaning of “recognised body” and “relevant advance”.E+W

(1)The expressions “recognised body” and “relevant advance” in section 84 (agreements to indemnify certain lenders) shall be construed in accordance with the following provisions.

(2)A “recognised body” means a body specified, or of a class or description specified, in an order made by statutory instrument by the Secretary of State F176. . ..

(3)Before making such an order varying or revoking an order previously made, the Secretary of State shall give an opportunity for representations to be made on behalf of a recognised body which, if the order were made, would cease to be such a body.

(4)A “relevant advance” means an advance made to a person whose interest in the dwelling is or was acquired by virtue of a conveyance of the freehold or an assignment of a long lease, or a grant of a long lease by—

a [F179registered social landlord].[F180 or an advance made to such a person by the Secretary of State if the conveyance, assignment or grant was made under section 90.]

(5)In subsection (4) “long lease” has the same meaning as in Part V of the M11Housing Act 1985 (the right to buy).

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86 Agreements to indemnify building societies: Scotland.S

(1)[F181Scottish Homes] may, with the approval of the Secretary of State, enter into an agreement with a building society [F182or recognised body] under which [F181Scottish Homes] binds itself to indemnify the building society [F182or recognised body] in respect of—

(a)the whole or part of any outstanding indebtedness of a borrower; and

(b)loss or expense to the building society [F182or recognised body] resulting from the failure of the borrower duly to perform any obligation imposed on him by [F183a] heritable security.

(2)The agreement may also, where the borrower is made party to it, enable or require [F181Scottish Homes] in specified circumstances to take an assignation of the rights and liabilities of the building society [F184or recognised body] under the heritable security.

(3)Approval of the Secretary of State under subsection (1) may be given generally in relation to agreements which satisfy specified requirements, or in relation to individual agreements, and with or without conditions, as he thinks fit, and such approval may be withdrawn at any time on one month’s notice.

(4)Before issuing any general approval under subsection (1) the Secretary of State shall consult with such bodies as appear to him to be representative of islands and district councils, and of building societies, and also with [F181Scottish Homes] and with the [F185Financial Services Authority].

[F187(6)In this section, “recognised body” means a body designated, or of a class or description designated, in an order made under this subsection by statutory instrument by the Secretary of State with the consent of the Treasury.

(7)Before making an order under subsection (6) above varying or revoking an order previously so made, the Secretary of State shall give an opportunity for representations to be made on behalf of a recognised body which, if the order were made, would cease to be such a body.]

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[F189(1)The [F190Relevant Authority]may give financial assistance to any person to facilitate the proper performance of the functions of registered social landlords or co-operative housing associations.]

(2)Assistance under this section may be in the form of grants, loans, guarantees or incurring expenditure for the benefit of the person assisted or in such other way as the [F190Relevant Authority] considers appropriate, except that the may not, in giving any form of financial assistance [F191under this section], purchase loan or share capital in a company.

(3)With respect to financial assistance under this section, the following—

(a)the procedure to be followed in relation to applications for assistance,

(b)the circumstances in which assistance is or is not to be given,

(c)the method for calculating, and any limitations on, the amount of assistance, and

(d)the manner in which, and the time or times at which, assistance is to be given,

shall be such as may be specified by the [F190Relevant Authority], acting in accordance with such principles as it may from time to time determine.

(4)In giving assistance under this section, the may provide that the assistance is conditional upon compliance by the person to whom the assistance is given with such conditions as it may specify.

(5)Where assistance under this section is given in the form of a grant, subsections (1), (2) and (7) to (9) of section 52 of the Housing Act 1988 (recovery, etc. of grants) shall apply as they apply in relation to a grant to which that section applies, but with the substitution, for any reference in those subsections to the [F192registered] housing association to which the grant has been given, of a reference to the person to whom assistance is given under this section.

(6)Section 53 of the Housing Act 1988 (determinations under Part II) shall apply in relation to a determination under this section as it applies to a determination under sections 50 to 52 of that Act.]

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Extent Information

E4This version of this provision extends to England and Wales only; a separate version has been created for Scotland only

(c)assisting tenants and licensees of a relevant association to take part in the management of the association or of some or all of the dwellings provided by the association.

(2)Assistance under this section may be in the form of grants, loans, guarantees or incurring expenditure for the benefit of the person assisted or in such other way as the [F274Relevant Authority] considers appropriate, except that the Corporation may not, in giving any form of financial assistance [F275under this section], purchase loan or share capital in a company.

(3)With respect to financial assistance under this section, the following—

(a)the procedure to be followed in relation to applications for assistance,

(b)the circumstances in which assistance is or is not to be given,

(c)the method for calculating, and any limitations on, the amount of assistance, and

(d)the manner in which, and the time or times at which, assistance is to be given,

shall be such as may be specified by the [F274Relevant Authority], acting in accordance with such principles as it may from time to time determine.

(4)In giving assistance under this section, the Corporation may provide that the assistance is conditional upon compliance by the person to whom the assistance is given with such conditions as it may specify.

(5)Where assistance under this section is given in the form of a grant, subsections (1), (2) and (7) to (9) of section 52 of the Housing Act 1988 (recovery, etc. of grants) shall apply as they apply in relation to a grant to which that section applies, but with the substitution, for any reference in those subsections to the registered housing association to which the grant has been given, of a reference to the person to whom assistance is given under this section.

(6)Section 53 of the Housing Act 1988 (determinations under Part II) shall apply in relation to a determination under this section as it applies to a determination under sections 50 to 52 of that Act.]

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Extent Information

E11This version of this provision extends to Scotland only; a separate version has been created for England and Wales only

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

(b)in Scotland, the M13Acquisition of Land (Authorisation Procedure) (Scotland) Act 1947 applies as if the [F194Relevant Authority] were a local authority and as if this section were contained in an Act in force immediately before the commencement of that Act.

(4)For the purposes of the purchase of land in Scotland by agreement by the [F194Relevant Authority]—

(a)the Lands Clauses Acts (except so much of them as relates to the acquisition of land otherwise than by agreement, the provisions relating to access to the special Act and section 120 to 125 of the M14Lands Clauses Consolidation (Scotland) Act 1845), and

(b)sections 6 and 70 to 78 of the M15Railways Clauses Consolidation (Scotland) Act 1845 (as originally enacted and not as amended by section 15 of the M16Mines (Working Facilities and Support) Act 1923),

are hereby incorporated with this section, and in construing those Acts for the purposes of this section this section shall be deemed to be the special Act and the [F194Relevant Authority] shall be deemed to be the promotors of the undertaking or company, as the case may require.

(5)In Scotland the [F194Relevant Authority] may (without prejudice to their own power to acquire land compulsorily) request the Scottish Special Housing Association to acquire land compulsorily on its behalf (as provided in section [F19723 of the Housing (Scotland) Act 1987]) for any purpose for which the [F194Relevant Authority] may purchase land compulsorily.

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Extent Information

E5This version of this provision extends to England and Wales only; a separate version has been created for Scotland only

(b)in Scotland, the M32Acquisition of Land (Authorisation Procedure) (Scotland) Act 1947 applies as if the [F276Relevant Authority] were a local authority and as if this section were contained in an Act in force immediately before the commencement of that Act.

(4)For the purposes of the purchase of land in Scotland by agreement by the [F276Relevant Authority]—

(a)the Lands Clauses Acts (except so much of them as relates to the acquisition of land otherwise than by agreement, the provisions relating to access to the special Act and section 120 to 125 of the M33Lands Clauses Consolidation (Scotland) Act 1845), and

(b)sections 6 and 70 to 78 of the M34Railways Clauses Consolidation (Scotland) Act 1845 (as originally enacted and not as amended by section 15 of the M35Mines (Working Facilities and Support) Act 1923),

are hereby incorporated with this section, and in construing those Acts for the purposes of this section this section shall be deemed to be the special Act and the [F276Relevant Authority] shall be deemed to be the promotors of the undertaking or company, as the case may require.

(5)In Scotland the [F276Relevant Authority] may (without prejudice to their own power to acquire land compulsorily) request the Scottish Special Housing Association to acquire land compulsorily on its behalf (as provided in section [F27823 of the Housing (Scotland) Act 1987]) for any purpose for which the [F276Relevant Authority] may purchase land compulsorily.

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Extent Information

E12This version of this provision extends to Scotland only; a separate version has been created for England and Wales only

89 Provision of dwellings or hostels and clearance, management and development of land.E+W

(1)The [F198Relevant Authority]may provide or improve dwellings or hostels on land belonging to it.

(2)The [F198Relevant Authority] may clear land belonging to it and carry out other work on the land to prepare it as a building site or estate, including—

(a)the laying out and construction of streets or roads and open spaces, and

(b)the provision of sewerage facilities and supplies of gas, electricity and water.

(3)The [F198Relevant Authority]may repair, maintain and insure buildings or works on land belonging to it, may generally deal in the proper course of management with such land and buildings or works on it, and may charge for the tenancy or occupation of such land, buildings or works.

(4)The [F198Relevant Authority]may carry out such operations on, and do such other things in relation to, land belonging to it as appear to it to be conducive to facilitating the provision or improvement of dwellings or hostels on the land—

(b)by a [F199registered social landlord] or unregistered self-build society.

(5)In the exercise of its powers under subsection (4) the [F198Relevant Authority] may carry out any development ancillary to or in connection with the provision of dwellings or hostels, including development which makes provision for buildings or land to be used for commercial, recreational or other non-domestic purposes.

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Extent Information

E6This version of this provision extends to England and Wales only; a separate version has been created for Scotland only

89 Provision of dwellings or hostels and clearance, management and development of land.S

(1)The [F279Relevant Authority]may provide or improve dwellings or hostels on land belonging to it.

(2)The [F279Relevant Authority] may clear land belonging to it and carry out other work on the land to prepare it as a building site or estate, including—

(a)the laying out and construction of streets or roads and open spaces, and

(b)the provision of sewerage facilities and supplies of gas, electricity and water.

(3)The [F279Relevant Authority]may repair, maintain and insure buildings or works on land belonging to it, may generally deal in the proper course of management with such land and buildings or works on it, and may charge for the tenancy or occupation of such land, buildings or works.

(4)The [F279Relevant Authority]may carry out such operations on, and do such other things in relation to, land belonging to it as appear to it to be conducive to facilitating the provision or improvement of dwellings or hostels on the land—

(5)In the exercise of its powers under subsection (4) the [F279Relevant Authority] may carry out any development ancillary to or in connection with the provision of dwellings or hostels, including development which makes provision for buildings or land to be used for commercial, recreational or other non-domestic purposes.

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Extent Information

E13This version of this provision extends to Scotland only; a separate version has been created for England and Wales only

90 Disposal of land.E+W

(1)The [F200Relevant Authority] may dispose of land in respect of which it has not exercised its powers under section 89(1) (provision or improvement of dwellings or hostels) and on which it has not carried out any such development as is mentioned in section 89(5) [F201(ancillary development) to a registered social landlord or an unregistered self-build society; and the Housing Corporation may dispose of such land to any of its subsidiaries or to any other body in which it holds an interest.]

(2)The [F200Relevant Authority] may dispose of land on which dwellings or hostels have been provided or improved in exercise of its powers under section 89 to—

and the Housing Corporation may dispose of any such land to any of its subsidiaries.]

(3)The [F200Relevant Authority] may sell or lease individual dwellings to persons for their own occupation; but where the dwelling concerned was acquired [F204by the Housing Corporation]by compulsory purchase under section 88(1), it shall not be disposed of under this subsection without the written consent of the Secretary of State.

(4)The [F200Relevant Authority]may dispose of a building or land intended for use for commercial, recreational or other non-domestic purposes in respect of which development has been carried out by virtue of section 89; but no such building or land shall be disposed of [F205by the Housing Corporation]for less than the best consideration it commands except with the written consent of the Secretary of State.

(5)The [F200Relevant Authority] may dispose of land which is not required for the purposes for which it was acquired; but where the land—

(a)was acquired compulsorily by, or on behalf of, the [F206Housing Corporation]or by a local housing authority who transferred it to the [F206Housing Corporation], or

(b)is disposed of [F207by the Housing Corporation](otherwise than for use as, or in connection with, a highway or street) for less than the best consideration it commands,

the [F206Housing Corporation] shall not dispose of the land except with the written consent of the Secretary of State.

(6)The [F208Housing Corporation] may not dispose of land except in accordance with the provisions of this section.

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Extent Information

E7This version of this provision extends to England and Wales only; a separate version has been created for Scotland only

90 Disposal of land.S

(1)The [F280Relevant Authority] may dispose of land in respect of which it has not exercised its powers under section 89(1) (provision or improvement of dwellings or hostels) and on which it has not carried out any such development as is mentioned in section 89(5) [F281(ancillary development) to a registered social landlord or an unregistered self-build society; and the Housing Corporation may dispose of such land to any of its subsidiaries or to any other body in which it holds an interest.]

(2)The [F280Relevant Authority] may dispose of land on which dwellings or hostels have been provided or improved in exercise of its powers under section 89 to—

and the Housing Corporation may dispose of any such land to any of its subsidiaries.]

(3)The [F280Relevant Authority] may sell or lease individual dwellings to persons for their own occupation; but where the dwelling concerned was acquired [F283by the Housing Corporation]by compulsory purchase under section 88(1), it shall not be disposed of under this subsection without the written consent of the Secretary of State.

(4)The [F280Relevant Authority]may dispose of a building or land intended for use for commercial, recreational or other non-domestic purposes in respect of which development has been carried out by virtue of section 89; but no such building or land shall be disposed of [F284by the Housing Corporation]for less than the best consideration it commands except with the written consent of the Secretary of State.

(5)The [F280Relevant Authority] may dispose of land which is not required for the purposes for which it was acquired; but where the land—

(a)was acquired compulsorily by, or on behalf of, the [F285Housing Corporation]or by a local housing authority who transferred it to the [F285Housing Corporation], or

(b)is disposed of [F286by the Housing Corporation](otherwise than for use as, or in connection with, a highway or street) for less than the best consideration it commands,

the [F285Housing Corporation] shall not dispose of the land except with the written consent of the Secretary of State.

(6)The [F287Housing Corporation] may not dispose of land except in accordance with the provisions of this section.

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Extent Information

E14This version of this provision extends to Scotland only; a separate version has been created for England and Wales only

91 Protection of persons deriving title under transactions requiring consent.E+W+S

Where the [F209Housing Corporation]purport to acquire or dispose of land—

(a)in favour of a person claiming under the [F209Housing Corporation]the transaction is not invalid by reason that any consent of the Secretary of State which is required has not been given, and

(b)a person dealing with the [F209Housing Corporation], or with a person claiming under the [F209Housing Corporation], shall not be concerned to see or inquire whether any such consent has been given.

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92 Borrowing powers.E+W+S

(1)The [F211Housing Corporation] may borrow from the Secretary of State, and the Secretary of State may lend to the [F211Housing Corporation], by way of temporary loan or otherwise, such sums in sterling as the [F211Housing Corporation] may require.

(2)The [F211Housing Corporation]may, with the consent of the Secretary of State or in accordance with a general authorisation given by him, borrow temporarily by overdraft or otherwise such sums in sterling as the [F211Housing Corporation]may require.

(3)The [F211Housing Corporation]may, with the consent of the Secretary of State, borrow—

(a)from the European Investment Bank or the Commission of the European Communities, sums in any currency, and

(b)from any other person, sums in a currency other than sterling.

(4)A loan made to the [F211Housing Corporation] by the Secretary of State shall be repaid to him at such times and by such methods, and interest on the loan shall be paid to him at such rates and at such times, as he may from time to time determine.

(5)The Treasury may issue to the Secretary of State out of the National Loans Fund such sums as are necessary to enable him to make loans to the [F211Housing Corporation]in pursuance of this section; and sums received by the Secretary of State in pursuance of subsection (4) shall be paid into that Fund.

(6)The Secretary of State may act under this section only with the approval of the Treasury.

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93 Limit on borrowing.E+W+S

(1)The [F212Housing Corporation] has only the borrowing powers conferred by section 92 and those powers are exercisable subject to the following limit.

(2)The aggregate amount outstanding by way of principal of—

(a)advances made to the [F213Housing Corporation] under section 9 of the M17Housing Act 1964 before 18th September 1974 (when that section was repealed),

(b)advances made to housing associations before 1st April 1975 in respect of which the rights and obligations of the Secretary of State were then transferred to the [F213Housing Corporation] by section 34 of the M18Housing Act 1974,

(c)money borrowed by the [F213Housing Corporation] under section 92, and

(d)money borrowed by a subsidiary of the [F213Housing Corporation] otherwise than from the [F213Housing Corporation],

[F214shall not exceed the limit [F215specified] under subsection (2A)].

(3)An order under subsection [F219(2A)] shall be made by statutory instrument and no such order shall be made unless a draft of it has been laid before and approved by the House of Commons.

(4)In ascertaining the limit imposed by subsection [F219(2A)], interest payable on a loan made by the Secretary of State to the [F212Housing Corporation]which, with the approval of the Treasury, is deferred and treated as part of the loan, shall, so far as outstanding, be treated as outstanding by way of principal.

(5)The power of the [F212Housing Corporation]to borrow from a subsidiary of the [F212Housing Corporation] is not affected by subsection (1) and borrowing from such a subsidiary shall be left out of account for the purposes of subsection [F219(2A)].

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94 Treasury guarantees of borrowing.E+W+S

(1)The Treasury may guarantee, in such manner and on such conditions as they think fit, the repayment of the principal of and the payment of interest on and the discharge of any other financial obligation in connection with sums which the [F220Housing Corporation] borrows from a person other than the Secretary of State.

(2)Immediately after a guarantee is given the Treasury shall lay a statement of the guarantee before each House of Parliament.

(3)Any sums required by the Treasury for fulfilling the guarantee shall be charged on and issued out of the Consolidated Fund.

(4)If any sums are so issued, the [F220Housing Corporation] shall make to the Treasury, at such times and in such manner as the Treasury may from time to time direct—

(a)payments of such amounts as the Treasury so direct in or towards repayment of the sums so issued, and

(b)payments of interest, at such rate as the Treasury so direct, on what is outstanding for the time being in respect of sums so issued.

(5)Sums received by the Treasury in pursuance of subsection (4) shall be paid into the Consolidated Fund.

(6)Where a sum is issued for fulfilling a guarantee given under this section, the Treasury shall, as soon as possible after the end of each financial year, beginning with that in which the sum is issued and ending with that in which all liability in respect of the principal of the sum and in respect of interest on it is finally discharged, lay before each House of Parliament a statement relating to the sum.

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(1)The Secretary of State may make such grants to the [F221Housing Corporation] as appear to him to be required to enable the [F221Housing Corporation] to meet the expenses incurred by it in the exercise of its functions.

(2)A grant may be made subject to such conditions as the Secretary of State may determine.

(3)The Secretary of State may act under this section only with the consent of the Treasury.

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96 General financial provisions.E+W+S

(1)The [F222Housing Corporation] may turn its resources to account so far as they are not required for the exercise of its functions.

(2)If for an accounting year the revenues of the [F222Housing Corporation] exceed the total sums properly chargeable to revenue account, the [F222Housing Corporation]shall apply the excess in such manner as the Secretary of State may, after consultation with the [F222Housing Corporation], direct; and the Secretary of State may direct that the whole or part of the excess be paid to him.

(3)The Secretary of State may give directions to the [F222Housing Corporation] as to matters relating to—

(a)the establishment or management of reserves,

(b)the carrying of sums to the credit of reserves, or

(c)the application of reserves for the purposes of the [F223Housing Corporation’s]functions.

(4)The Secretary of State may, after consultation with the [F222Housing Corporation], direct the [F222Housing Corporation] to pay to him the whole or part of any sums for the time being standing to the credit of reserves of the [F222Housing Corporation] or being of a capital nature and not required for the exercise of the [F223Housing Corporation’s] functions.

(5)The Secretary of State may act under this section only with the approval of the Treasury.

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97 Accounts and audit.E+W+S

(1)The [F224Housing Corporation]shall keep proper accounts and proper records in relation to the accounts and shall prepare in respect of each financial year annual accounts in such form as the Secretary of State may, with the approval of the Treasury, direct.

(2)The accounts of the [F224Housing Corporation] for each financial year shall be audited by a qualified accountant appointed for the purpose by the Secretary of State.

(3)As soon as the annual accounts of the [F224Housing Corporation] for a financial year have been audited, the [F224Housing Corporation]shall send to the Secretary of State a copy of the accounts prepared by it for the year in accordance with this section, together with a copy of any report made on them by the auditor.

(4)The Secretary of State shall prepare in respect of each financial year, in such form and manner as the Treasury may direct, an account of—

(a)the sums issued to him and lent to the [F224Housing Corporation], and

(b)sums received by him from the [F224Housing Corporation] and paid into the National Loans Fund in respect of the principal and interest on sums so lent, or on sums advanced to the [Housing Corporation] under section 9 of the M19Housing Act 1964,

and shall transmit the accounts so prepared by him to the Comptroller and Auditor General on or before 30th November in the following financial year.

(5)The Comptroller and Auditor General shall examine and certify the accounts prepared by the Secretary of State and lay before each House of Parliament copies of the accounts together with his report on them.

[F225(6)In this section “qualified accountant” means a person who is eligible for appointment as a company auditor under section 25 of the Companies Act 1989.]

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Acquisition of securities and control of subsidiariesE+W+S

98 Acquisition of securities and promotion of body corporate.E+W+S

(1)The [F226Housing Corporation] may with the consent of the Secretary of State—

(a)subscribe for or acquire securities of a body corporate, and

(b)promote or participate in the promotion of a body corporate.

(2)In the section “securities” means shares, stock, debenture stock and other securities of a like nature.

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99 Control of subsidiaries.E+W+S

(1)The [F227Housing Corporation] shall exercise its control over its subsidiaries so as to secure that no subsidiary—

(a)engages in an activity which the [F227Housing Corporation] is not empowered to carry on, or

(b)engages in an activity in a manner in which the [F227Housing Corporation] itself could not engage by reason of a direction given to it under section 76 (directions by Secretary of State).

(2)The [F227Housing Corporation] shall also exercise its control over its subsidiaries so as to secure that no subsidiary of its—

(a)borrows money from a person other than the [F227Housing Corporation], or

(b)raises money by the issue of shares or stock to a person other than the [F227Housing Corporation],

without the consent of the Secretary of State.

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Supplementary provisionsE+W+S

[F228100 Scottish Special Housing Association may act as agents for [F229Relevant Authority]in Scotland.E+W+S

The [F229Relevant Authority] may, on such terms and conditions as may be agreed between it and the Scottish Special Housing Association, authorise the Association to act in Scotland as the agents of the [F229Relevant Authority] for the purpose of carrying out any of the functions vested in the [F229Relevant Authority] under—

(a)section 77 (advisory service),

(b)sections 88 and 89 (powers with respect to land and works), or

(c)paragraph 5 of Schedule 7 (schemes for provision of housing accommodation in place of a housing association).]

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101 Minor definitions.E+W+S

[F230“building society” means a building society within the meaning of the Building Societies Act 1986;]

“financial year” means the period of 12 months ending with the 31st March;

“highway”, in relation to Scotland, includes a public right of way;

“subsidiary” has [F231the meaning given by section 736 of] the Companies Act.

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Extent Information

E15This version of this provision extends to England and Wales only; a separate version has been created for Scotland only

102 Index of defined expressions: Part III.S

The following Table shows provisions defining or explaining expressions used in this Part (other than provisions defining or explaining an expression in the same section or paragraph):—

building society

section 101

the Companies Act

section 106

dwelling

section 106

financial year

section 101

heritable security

section 106

highway (in relation to Scotland)

section 101

hostel

section 106

housing association

section 1(1)

local authority

section 106

local housing authority

section 104

new town corporation

section 106

recognised body

section 85(2)

registered (in relation to a housing association)

section 3(2)

relevant advance

section 85(4)

self-build society

section 1(3)

subsidiary

section 101

unregistered (in relation to a housing association)

section 3(2)

urban development corporation

section 106

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Extent Information

E16This version of this provision extends to Scotland only; a separate version has been created for England and Wales only

Part IVE+W+S General Provisions

General provisionsE+W+S

103 Application to Isles of Scilly.E+W+S

(1)This Act applies to the Isles of Scilly subject to such exceptions, adaptations and modifications as the Secretary of State may by order direct.

(2)An order shall be made by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.

104 Local housing authorities.E+W+S

(1)In this Act “local housing authority”—

(a)in relation to England and Wales, has the meaning given by section 1 of the M20Housing Act 1985, and

(b)in relation to Scotland, means [F232a council constituted under section 2 of the Local Government etc. (Scotland) Act 1994].

(2)References in this Act to the district of a local housing authority—

(a)in England and Wales shall be construed in accordance with section 2 of the Housing Act 1985, and

(b)in Scotland are to the [F233area of a council mentioned in subsection (1)(b) above].

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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

106 Minor definitions — general.E+W+S

(b)a company as to which the Secretary of State was satisfied immediately before the repeal of the M21Protection of Depositors Act 1963 that it ought to be treated as a banking company or discount company for the purposes of that Act;]

“dwelling” means a building or part of a building occupied or intended to be occupied as a separate dwelling, together with any yard, garden, outhouses and appurtenances belonging to it or usually enjoyed with it;

[F235“friendly society” means a friendly society or branch of a friendly society registered under the M23Friendly Societies Act 1974 or earlier legislation;]

“hostel” means a building in which is provided for persons generally or for a class or classes of persons—

(a)residential accommodation otherwise than in separate and self-contained sets of premises, and

(b)either board or facilities for the preparation of food adequate to the needs of those persons, or both;

“house” includes—

(a)any part of a building which is occupied or intended to be occupied as a separate dwelling;

(b)any yard, garden, outhouses and appurtenances belonging to the house or usually enjoyed with it;

[F237[F238“housing activities”, in relation to a registered housing association, means all its activities in pursuance of such of its purposes, objects or powers as are of a description mentioned in section 1(1)(a) or subsections (2) to (4) of section 4.]]

[F235“insurance company” means an insurance company to which Part II of the M24Insurance Companies Act 1982 applies;]

“local authority” means a county, [F239county borough,]district, or London borough council, the Common Council of the City of London or the Council of the Isles of Scilly and in [F240section 84(5)]includes . . . F241 a joint authority established by Part IV of the M25Local Government Act 1985 [F242and the London Fire and Emergency Planning Authority][F243and in section 85(4) includes such a joint authority [F242the London Fire and Planning Authority] and a police authority established under [F244section 3 of the M26Police Act 1996][F245and the Metropolitan Police Authority]];

“new town corporation” means the Commission for the New Towns or a development corporation within the meaning of the M27New Towns Act 1981;

“shared ownership lease” means a lease—

(a)granted on payment of a premium calculated by reference to a percentage of the value of the house or dwelling or of the cost of providing it, or

(b)under which the tenant (or his personal representatives) will or may be entitled to a sum calculated by reference directly or indirectly to the value of the house or dwelling;

[F247“heritable security” means any security capable of being constituted over any interest in land by disposition or assignation of that interest in security of any debt and of being recorded in the Register of Sasines or, as the case may be, registered in the Land Register of Scotland and which includes a security constituted by an ex facie absolute disposition or assignation or by a standard security;]

“hostel” means—

(a)in relation to a building provided or converted before 3rd January 1962, a building in which is provided, for persons generally or for any class or classes of persons, residential accommodation (otherwise than in separate and self-contained dwellings) and board, and

(b)in relation to a building provided or converted on or after that date, a building in which is provided for persons generally or for any class or classes of persons, residential accommodation (otherwise than in houses) and either board or common facilities for the preparation of adequate food to the needs of those persons, or both;

“house” includes—

(a)any part of a building, being a part which is occupied or intended to be occupied as a separate dwelling, and in particular includes a flat, and

(b)includes also any yard, garden, outhouses and pertinents belonging to the house or usually enjoyed with it;

(a)a pro indiviso right in a dwelling is sold to a person and the remaining pro indiviso rights therein are leased to him subject to his being entitled, from time to time, to purchase those remaining rights until he has purchased the entire dwelling; or

(b)pro indiviso rights in dwellings are conveyed to trustees to hold on behalf of persons each of whom, by purchasing a share in those dwellings, becomes entitled to exclusive occupancy of one of the dwellings but with any such person who wishes to sell or otherwise dispose of his share being required to do so through the agency of the trustees,

or such other agreement as may be approved whereby a person acquires a pro indiviso right in a dwelling or dwellings and thereby becomes entitled to exclusive occupancy of the dwelling or, as the case may be, one of the dwellings;]]

[F246“trustee savings bank” has the same meaning as in subsection (1).]

[F252(3)In the definition of “shared ownership agreement” in subsection (2) above, “approved” means approved by the Secretary of State after consultation with [F253Scottish Homes].]

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In Schedule 5, Part II, paragraphs 3 and 4 of Part III, Part IV and Part VII.

(5)This Act does not extend to Northern Ireland.

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